Officials in a central Indiana county have rejected a tax abatement for a proposed solar farm, putting the $110 million project in jeopardy.
The Madison County Council voted 4-3 on Tuesday to deny the Lone Oak Solar Energy Center’s request for a traditional 10-year tax abatement.
The proposed solar farm in northern Madison County would generate 120 megawatts of electricity, but officials with developer Invenergy say that not obtaining the tax abatement could make the project financially impossible.
Company officials say the tax abatement would have saved the company $5 million in personal property taxes over the 10 years, The Herald Bulletin reported.
Project manager Katya Samoteskul told council members the tax break also would have reduced the cost of the electricity to a potential buyer of the solar farm’s power.